10-year outsourcing contract with Blue Cross.
FEBRUARY 21, 2000
COGNICASE: Ontario/Quebec Blue Cross Increases Financial
Services Offering via Internet and Wireless Through
Strategic Partnership With COGNICASE
MONTREAL, QUEBEC--Ontario Blue Cross/Quebec Blue Cross and
COGNICASE Inc. (NASDAQ: COGI) have reached an agreement in
principle under which COGNICASE will become the exclusive
information technology supplier to Ontario Blue Cross/Quebec Blue
Cross for a 10-year period.
For COGNICASE, this strategic partnership represents an estimated
$100 million in revenues for the 10-year period. COGNICASE will
manage Blue Cross' Internet/Web strategy, the development of
applications enabling the sale of insurance products via Internet
and wireless, the evolution of IT applications, as well as Blue
Cross' IT infrastructure, including its data/voice transmission
network. COGNICASE also acquires Blue Cross' IT assets and
related intellectual property.
"We are proud to have COGNICASE as a strategic partner to
efficiently manage our information technology needs. COGNICASE
will leverage our insurance products by supporting them with
efficient e-business applications. In addition, we will become a
customer of COGNICASE's procurement portal in order to reduce the
costs of the products and services we purchase, as well as the
cost of procurement transactions," said Claude Boivin, President
and Chief Executive Officer, Ontario Blue Cross/Quebec Blue Cross.
"This strategic partnership with Blue Cross allows COGNICASE to
acquire the technological platforms and software needed to support
the sale of financial products via Internet and wireless, and to
market e-financial services in the U.S. What's more, we will
leverage the technologies of COGNICASE Internet Technologies (CIT)
- such as eMP-Apps, "Watch 4 me 7/24" and the Personal Portal - in
respect of the financial services that Blue Cross offers its
clients," said Ronald Brisebois, President and Chief Executive
Officer of COGNICASE.
"This partnership will result in significant synergies and enable
us to substantially grow our financial services technologies and
software based on the Internet and wireless. This will allow us
to rapidly introduce a comprehensive, leading-edge offering for
the banking and insurance sector in the U.S. market," added Mr.
Brisebois.
About Blue Cross
Founded in 1942, Blue Cross of Ontario and Quebec is a leading
provider of individual and group healthcare insurance, travel
insurance and assistance. Its mission is to anticipate the needs
of Quebecers and Ontarians by offering distinctive, high quality
products and services. The company has premium income of $211
million and assets of $173 million. With 425 employees and
offices in Toronto, Montreal and Quebec City, Blue Cross strives
to maintain superior service standards based on the development of
its human resources.
About COGNICASE
COGNICASE is among the leading North American e-business
integrators and solutions providers, with offices in several major
North American and European business centers. Based on its
results-driven approach, Internet software technologies,
international IT engineering/hosting center and critical mass of
business and technology expertise, COGNICASE offers innovative
solutions that contribute to the business success of its customers
in the digital economy. Our solutions include: turnkey e-business
solutions including portal development and evolution, e-services
software and solutions, re-engineering of existing applications
for e-business, technology configuration management, as well as
project management and business process improvement consulting
services.
The mission of COGNICASE INTERNET TECHNOLOGIES (CIT), a COGNICASE
business unit, is to deliver "smart information on demand" by
developing leading-edge Internet and wireless software solutions.
It capitalizes on COGNICASE's Internet products, re-engineering
technologies and search engines based on rules and fuzzy logic,
and using JAVA and XML.
The mission of COGNICASE INTERNET INNOVATIONS (CII), a COGNICASE
business unit, is to accelerate the creation, start-up and
development of new Internet companies (dot-coms) and portals
offering state-of-the-art solutions. Backed by the power of the
Internet, and the most reliable, flexible and advanced
technologies and functionalities, CII allows optimal development
of integrated business solutions that are adapted to the specific
needs of each industry. CII is a business unit of COGNICASE.
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995
(US), which involve risks and uncertainties. As a result of a
number of factors, including factors that COGNICASE may not
currently foresee, COGNICASE's actual results could differ
materially from those set forth in the forward-looking statements.
Certain other factors that might cause the COGNICASE's actual
results to differ materially from the forward-looking statements
include the COGNICASE's ability to (i) successfully develop
additional products and services and new applications for its
existing products and services and otherwise respond to rapid
changes in technology, (ii) successfully compete in its industry
for customers and developers and other personnel with expertise in
information technology, (iii) successfully identify and consummate
acquisitions on favorable terms and integrate acquired businesses,
(iv) successfully manage its growth and changing business, as well
as those factors set forth under the heading "Risk and Risk
Management" in its 1999 annual report. Other risk factors
relating to this press release include the ability of COGNICASE to
negotiate and finalize the definitive agreements related to the
transaction described herein, the possible cancellation of such
definitive agreements before the end of their expected duration,
and a possible reduction in the needs of COGNICASE's customer for
IT services over the period of such agreement.
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FOR FURTHER INFORMATION PLEASE CONTACT:
COGNICASE Inc.
Ronald Brisebois
President and Chief Executive Officer
(514) 876-9077
brir@cognicase.com
Site web: www.cognicase.com
or
COGNICASE Inc.
Carl Simard
Senior Vice President, Electronic Business Solutions
(514) 876-9077
simc@cognicase.com
Site web: www.cognicase.com
or
Ontario Blue Cross/Quebec Blue Cross
Claude Boivin
President and Chief Executive Officer
(514) 286-8482
cboivin@qc.croixbleue.ca
Site web: www.qc.croixbleue.ca
INDUSTRY: CMT
SUBJECT: JVN |
